Client / Brand Analysis: 1.1. About Grainger

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1.

Client / Brand Analysis

1.1. About Grainger


Grainger is a MRO B2B company headquartered in USA, and the company was founded in 1927. It
specializes in MRO (maintenance, repair and operation) industry. It is one of the oldest and most
prominent supplier of MRO products in the industry. It primarily focuses on serving customers in
healthcare, manufacturing, hospitality and government sectors. The company is a distributor for over
7000 brands and has a portfolio of more than one million products in USA alone. The company’s
operations are spread across over 160 countries.

1.1.1. Business Model


W.W. Grainger Inc. is a business – to – business distribution of products used to maintain, repair and
operate industry. The company uses multichannel business model to serve more than 1.6 million
customers of all but, mainly the company makes money by supplying logistics and operations to its
customers by offering them with its website more than 1.4 million product range making it easier for
the company’s then customer as well as the potential customer to look for solutions at one place
1.1.2. Growth Strategy
Grainger’s primary growth strategy is to use e-commerce channel to increase the level of personal
integration with customers, making it extra convenient and add a component of ease in the way they
conduct business and build customer loyalty and retaining customers. Over the last few years with the
growing concept of globalization the company is also focusing on spreading their wing in the
international markets and clients. In addition to this the company has also been heavily investing in
traditional e-commerce platforms, they are also focusing on adopting mobile techs and implementing
new and innovative approached to reach wider and also to smaller sized potential customers.
1.1.3. Online Presence
Grainger has a solid online presence due to the efficient efforts of company’s digital marketing teams
and it long history where they opened their website almost twenty years ago. As depicted in the data
on website Similarweb.com
Now, if we analyze the social media data again with the aid of Similarweb.com, it shows that Grainger
Capitalizes most on many social media platforms but interesting they have a huge hold on Facebook and
edit as depicted in diagram below

Presently, Grainger on Instagram has 6720 followers with almost 542 posts and on an average each post
has 30 likes, 2 comments and 250 views. On Facebook Grainger have 218k likes but the engagement
level is slightly lower than that of Instagram. On LinkedIn Grainger have 140k followers with a
community of 16,482 employees. On YouTube which is essentially their most prominent display
advertising platform they have almost 6.36k subscribers and almost 823 videos, whose views differ from
500 to 50k views. On twitter Grainger have 26.7l followers and about 10k tweets with an average of
athletes one retweet per tweet.
1.1.4. Customers
Overall, we can divide customers into three categories that are procurement department at big
companies, technicians at medium sized companies and small business owners. According to the
information provided on Alexa.com about the company demographic profile, most of the customers are
males with some college degree where they most visit the website while they are at work. According
to Akin Tosyali, there are two main types of visitors. The procurement department and the installers.
The second group are the ones who only visit the website but make no purchases. They send information
to the first group and they make purchases.
1.1.5. Purchase Trends
According to Futuremarketinsights.com, these trends are changing the purchasing pattern in power
tools industry
- Power tools outpacing hand tools
- High demand from professionals
- China dominates power tolls market
- Shift from corded to cordless
- DIY trend gaining traction in developing world
- Lithium-ion batteries replacing Ni-Cd
- Focus on product development
- 3-d printing
- Resurgence of construction industry in emerging nations.

1.2. MRO Industry in North America Region


The industry of MRO is steadily increasing in North American region. The Overall MRO market in
this region is projected to represent over $180 billion over the course of next five years. Though the
overall MRO growth is subjected to decline @ -1.5% CAGR because of a strong fleet replacement
factor. Over the last few years many providers are operating heavily on enabling their customers to
purchase goods online through their e-procurement platforms allowing for quick and paper saving
business transactions.
Top five players / suppliers in MRO services:
- Sonepar
- Wolseley
- Rexel
- Wurth Group
- W.W. Grainger

1.3. Bosch Power Tools


Bosch is a multinational company that specializes in manufacturing mobility solutions, industrial
technology, consumer goods and building technology operations, spread over three main sectors and
15 sub-sectors. The brand has a prominent reputation for the quality and reliability of its products as
well as services. Bosch power tools is a part of the Bosch group which is known as Robert Bosch Tool
Corporation. It is one of the world’s leading providers for power tool, power tools accessories and
measuring tools. The core success factor of Bosch power tools is innovative strength and pave of
innovation. Each ear the company launches almost 100 new power tools. The category includes the
following sub categories:
- Power tools such as hammers, cordless power tools, grinders, etc.
- Power tools accessories such as oscillating multi-tool accessories, band saw blades, etc.
- Power tolls attachment such as abrasive cutoff attachments, circular saw attachments, etc.

1.3.1. The Primary and Secondary Customer


- Primary Customers: There are mainly two groups of primary customers for Bosch tools: the
Professionals and the Home-Users. Bosch has special focus on the both groups as it should be. Though
the strategy to market these products would be different for different group. The professionals need
strong and heavy tools whereas the home users need lighter, easy to use tools
- Secondary customers: for the professionals, the procurement people are the secondary customers.
They influence the professional’s decision by providing their own interests. The easier the purchasing
process, the more satisfied the procurement people would be. For home users, their friends and family
are the secondary users.
1.3.2. Trends among the primary / secondary customer
Generally, customers are likely to buy from the Bosch power tools upon a recommendations of one of
the users that they are well acquainted with which is a key asset to capitalize on and turn it into a benefit.
In terms of B2B marketing the need for a product is recognized by the primary audience. The role of
the secondary audience is either to approve the demand or reject it. There is a direct relationship
between the primary and the secondary audience. The primary audience can pressurize the secondary
audience to ensure that the product will be bought.
1.3.3. SWOT Analysis

Strengths
Weakness
 Strong brand name
 Product prices
 Innovation
 Lesser access to customer
 High quality perception
 Low digital media engagement
 Low employee turnover

Opportunities Threats
 Use of e-commerce  Lagging behind the current
 Digital marketing channels managerial trends
 Trends moving from cord to  Changes in industry
cordless tools  New players in the market
1.3.4. Bosch Power Tools Online Presence
If we look at the data on SimilarWeb.com the company has been able to attract impressive number of
traffic on their digital platforms and has been continuously and exponentially improving their
engagement rate. Now, if we go through and analyze the sources of this traffic it shows that the
maximum is through direct searches and the company still have to put in extra time and effort on their
social media as only 1.88% of the entire traffic is generated through social media platforms.

It seems when we analyze further that the Bosch power tool staff are investing less in the paid searches
compared to organic search where according to SimilarWeb.com, only 2.62% is generated by the former,
while massive 97.38% from the latter.
As for the social media presence and visibility, though surprising but efficient that YouTube seems to have
taken the biggest pie with 79.30% of entire social platforms presence followed by Reddit. Bosch seems to
have opted out for Instagram for this sector.

Presently, Bosch power tools have only 46k likes in Facebook with mere 80-12like and only 2-4 shares per
post. On LinkedIn the company have 16k followers and each post has about 50likes. There are 1851
employees in their community. On YouTube the company ha 145k subscriber with 645 videos. On twitter
the company has 32k followers with about 5k tweet. Each tweet has been retweeted at least 2 time.
2. Problem Statement
“To design a multi-channel digital marketing campaign for the client, Grainger, as they target a sales
increase of Bosch Power Tools by 10% on Grainger.com. The client wants the campaigns to focus on
display advertising and email for this project.”
Grainger is a firm that supplies MRO (Maintenance, Repair, and Operation) products. They provide
anything that a firm may need which may not become part of the final product. The supplies can be
procured through Grainger.com, from 370 branches across the USA, or over the phone. They are a
business-to-business (B2B) company and have a global footprint with many subsidiaries in different
countries across the globe. Even though Grainger is a B2B firm, it is actually very similar to a B2C
firm, where they market to the end consumer as well. Traditionally, Grainger would have done
marketing campaigns by itself over various platforms such as search ads, displays, social, etc. Recently,
they have started looking at partnering with their big suppliers to conduct joint promotional campaigns.
Bosch Tools is one such supplier. Bosch Tools, a unit of Bosch, supplies power tools to Grainger, and
Grainger is one of the main B2B resellers of Bosch. Bosch Tools has several other B2C online partners
and a few B2Bpartners as well.
Grainger and Bosch Tools are partnering together to explore ways to increase sales of power tools.
They would like to increase sales by 10% by working more closely to sell more products to existing
customers, find new customers, and sell across product categories as well. Boschtools.com is itself a
consumer-facing website and has data on customer behavior, and Bosch is sharing this data with
Grainger. Here we try to present a campaign to the Grainger Digital Marketing team on how to increase
the awareness and sale of Bosch power tools by 10% on Grainger.com. You will target the current and
potential customers by focusing on display and email channels. Display advertising could be
throughGrainger.com or through programmatic display ad purchases. The email database is owned by
Grainger and has users interested in the category of power tools. This digital campaign strategy
document will help answer the following prompts.
Question 1: How can Grainger increase sales of Bosch Tools power tools on Grainger.com to customers
who first visit Boschtools.com? Consider the scenarios listed below.
Scenario 1: Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not
visit Grainger.com
Scenario 2: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the power tools category
Scenario 3: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the plumbing category but not power tools
Question 2: How can Grainger cross-sell/up-sell more Bosch products from categories beyond power
tools to its existing customers? You can assume that these existing customers have already bought
Bosch brand tools on Grainger.com.
3. Consumer Decision Journey

3.1. Mapping Scenarios to CDJ state


We will consider the McKinsey Consumer Decision Journey model and map the scenarios stated in the
problem statement to the best logical phase. Frist of we start by looking at the model

Scenario 1: Audiences that visit Boschtools.com, look at a power tool, but do not visit Grainger.com
These audiences may be in one of the following 2 CDJ states:
Active Evaluation: They are just looking at their available options but have not decided to make a
purchase. That’s why they don’t visit Grainger.com. This means the customer has felt a need for a
power tool but hasn't decided what Brand or Model to buy. He/She is just gathering some information
to see what best suits for him/her.
Post Purchase Experience: They have bought a power tool and they are looking for more information
about it. Maybe a manual or a fact sheet. They may have lost the packed manual and they may have
forgotten the usage instructions of the tool.
Scenario 2: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the power tools category.
These audiences are in the Moment of Purchase state. They have made their decision to buy from
Bosch and they know the specific power tool they want. So now they are looking for the place to buy
it. They still may not make the purchase as the prices and buying process may make the consumer quit.
Scenario 3: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the plumbing category but not power tools.
These audiences are in Initial Consideration state. They know they need something but they are not
sure what the best solution is. That’s why when they visit Grainger.com, they go to the plumbing
category.

3.2. Describing Customer’s Concern

Scenario CDJ State Customer’s Concerns

Reliability of the brand and whether it’s better than


1 Active Evaluation
other products and pricing

1 Post Purchase Experience Looking for product’s manual and how to videos

Looking for more proofs to endorse their final


2 Moment of Purchase
decisions and starting to proceed the purchase

3 Initial consideration Analyzing product’s features and benefits

3.3. Identifying Analysis

3.3.1. First Scenario


It is necessary that the company performs a competitive intelligence analysis through evaluating what
other competing brands are offering. Also it should concentrate on experimenting and testing with aim
of brushing up on the journey of active evaluator. Some of the metrics that should be looked at are
average time spent on page, exit rate and so on.
3.3.2. Second Scenario
In order to have more accurate insights on what is going on, the analysis should be based on outcome
analysis and also conversion. Some of the metrics that should be looked at are add to cart conversion
rate, shopping cart abandonment rate and so on.
3.3.3. Third Scenario
The company should run experimentation along with clickstream analysis to be able to guess what is
attracting customers to plumbing category. Some metrics that need to be looked at are CTR, CPA, CPC,
and so on.
4. Data Analysis Plan

4.1. Identifying Business Objectives and Key Questions


We will identify a business objective for each of these 3 scenarios and determine the key questions for
each:
Scenario 1: Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not
visit Grainger.com
Business objective: Influence Consideration
Key Questions:
1. Do our products satisfy the consumer?
For this question, we will need data such "Consumers' feedback" which can be gained by analyzing our
social media pages and reading the consumers' comments.
2. How are we doing online?
To find out we may look for our site's impressions on Google search results using the Google Search
Console and our impressions on social channels using that social channel analytics tool.
Scenario 2: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the power tools category.
Business objective: Improve the Sales Process
Key Questions:
1. What is happening on the sales tunnel?
We can measure that by num. of clicks on “add to cart” button and the num. of visitors who have visited
“Order Complete” Page, both of them through Google Analytics. We can also look for number of
successful purchases which can be found on the website's data.
2. How is the sales process on mobile devices?
The number of visits using a mobile device can be found using Google Analytics. We may also want
to determine how we are doing on mobile using Google test my site tool.
Scenario 3: Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log
into Grainger.com, and visit the plumbing category but not power tools category.
Business objective: Build Awareness
Key Questions:
1. Do consumers recall my brand?
We can look for search volume in the Google Trends tool. Our social media engagements would be
another good data which can be looked for on our social media pages.
2. How visitors end up here?
We may want to know where our visitors are coming to our sites using Google Analytics and the
searched keywords using the Google Search Console.

4.2. Documenting the Plan

Objective Key Questions Data – Sources


Do our products satisfy the Consumer’s feedback – Social
consumer? channels analysis

Influence Consideration Impression on google – Google


search console
How are we doing online?
Impression on social channels –
Social channel’s analysis

Number of successful
What is happening on the sales purchases – website’s data
tunnel? Clicks on add to cart – Google
analytics
Improve the Sales Process
Mobile visits – Google
How is the sales process on mobile analytics
devices? Mobile page speed – Google
test me site tool

Search Volume – Google


Trends
Do consumers recall my brand?
Social engagement – social
pages
Build Awareness
Visitor sources – Google
Analytics
How visitors end up here?
Searched keywords – Google
Search Console

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